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Suppose you expect the next year s annual dividend for Orbiter Crop s stock is $5.25, and the constant-growth rate is 2.85%. As an investor,
Suppose you expect the next year s annual dividend for Orbiter Crop s stock is $5.25, and the constant-growth rate is 2.85%. As an investor, you require a 15.5% rate of return. Then which one of the below should you pay for a stock?
a) $42.68
b) $38.87
c) $41.50
d) $31.25
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